The problem that you face is that once you are in arrears you are in breach
of your mortgage conditions and the whole loan becomes immediately repayable.
If they pass it to solicitors, legal costs will start to accrue even
though, with only £2000 of arrears, there is little chance that they would get
repossession. Nonetheless, the legal costs will be substantial
If you want to keep this out of court you need to pay the arrears
completely up-to-date and make sure that all future payments are paid on time.
If you do that, and they still blindly take you to court you can defend it
on the basis that they have no grounds to repossess the property and you can
ask the court to order that the lender gets no legal costs and is not allowed
to add any legal costs on to your bill/mortgage account.
I am a bit concerned as to why you say that LTSB are second in line for any
money because they should be first in line and should have a first charge. Do
they not have a first charge?
Can I help further?
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